Consumer lending encompasses lenders not operating through a bank, savings bank or credit union (considered traditional lenders). Consumer lenders are considered non-traditional.

Nebraska has three different types of businesses that operate under the consumer lending division. These businesses are: installment loan companies, sales finance companies and loan brokers. Consumer lending does not include home mortgages (but can include home equity loans). The mortgage lending section of our web site addresses mortgage activities and regulation.

Installment loan companies regulated by our agency must be physically located in Nebraska. They specialize in personal and consumer loans, usually of a smaller amount and can include home equity lines of credit.

Sales finance companies purchase and service retail installment contracts. These contracts are usually in larger amounts and are involved in the purchase of material items, such as vehicles. Dealerships, and other businesses, typically sell these retail payment agreements to a third party - a sales finance company - who then becomes the responsible party for accepting and processing payments until the loan is paid in full.

A loan broker is a person or company that arranges for or helps to obtain a loan. These types of loans are commercial, consumer or personal loans. Loan brokers are not allowed to arrange or help obtain a loan secured by residential property in Nebraska without a mortgage banker license.

Installment Loan Forms - New License

The Nebraska Department of Banking and Finance uses the Nationwide Mortgage Licensing System (NMLS). All entities applying for a new installment loan license or renewing a license are required to use the - NMLS.

Installment Loan License Bond Form
Installment Loan License Supplemental Bond Form

Other Installment Loan Forms

Installment Loan Real Estate Valuation Model Application
Notice of Right to Cure Loan Default (SAMPLE FORM)
Notice to Cosigner or Guarantor (SAMPLE FORM)

Loan Broker Forms

Please contact our consumer lending division at (402) 471-2171 for information regarding a loan broker license in Nebraska.

Sales Finance Forms

Sales Finance License Bond Form

Nontraditional Mortgage Product Risks

In January, 2007, the Nebraska Department of Banking and Finance adopted a set of regulatory guidelines covering the marketing of nontraditional mortgages by state-licensed entities. These guidelines promote consistent regulation in the mortgage market and clarify how residential mortgage providers can offer nontraditional mortgage products in a way that clearly discloses the risks borrowers may assume. For a PDF version of these guidelines, click here.

Illustrations of Consumer information on Nontraditional Mortgage Products

In June, 2007, the Federal Financial Agencies published final Illustrations of Consumer Information for Nontraditional Mortgage Products. The Illustrations are intended to assist institutions in implementing the consumer protection portion of the Interagency Guidance on Nontraditional Mortgage Product Risks adopted by the Department. The use of the Illustrations is voluntary for licensees, but using the Illustrations does ensure full compliance with the consumer protection provisions of the Guidance. To download a copy of the Illustrations of Consumer Information for Nontraditional Mortgage Products, click here.

Statement on Subprime Mortgage Lending

CSBS, AARMR and NACCA have developed a Statement on Subprime Mortgage Lending that was developed to address emerging issues and questions relating to subprime mortgage lending practices. The Statement pertains to mortgage providers not affiliated with a bank holding company or an insured financial institution and clarifies how licensees can offer subprime loans in a safe and sound manner that clearly discloses the risks that borrowers may assume. For a pdf version of these guidelines, click here.

Certain entities and/or transactions may be exempt from registration or licensing as a mortgage banker in the State of Nebraska. The exemptions are listed in the Residential Mortgage Licensing Act. Below is a brief outline of some entities/transactions that do not require a license or registration.

This listing is merely a reference. Please see the Residential Mortgage Licensing Act, Section 45-703 for a full list of exemptions and conditions.

Entities Exempt

• Any financial institution
• Any registered bank holding company
• Any insurance company organized under the laws of Nebraska, or with a place of business in this state

Individuals Exempt

• Any person licensed to practice law in this state who is not actively and principally engaged in the business of negotiating mortgage loans when such a person renders services in the regular course of his or her practice as an attorney at law
• Any person licensed in Nebraska as a real estate broker or real estate salesperson who is not actively and principally engaged in the business of negotiating mortgage loans when such person renders services as a real estate broker or real estate salesperson

Nebraska Participates in NMLS

The Nebraska Department of Banking and Finance uses the Nationwide Mortgage Licensing System (NMLS)developed by the Conference of State Bank Supervisors and the American Association of Residential Mortgage Regulators. The goal of the NMLS is to streamline and improve the licensing process for companies, branches, and individuals that hold licenses in multiple states. All mortgage lending license applications must be submitted through the NMLS.

Conducting Mortgage Transactions in Nebraska

Any person or business that, for compensation or gain or in the expectation of compensation or gain, directly or indirectly makes, originates, services, negotiates, acquires, sells, arranges for, or offers to make, originate, service, negotiate, acquire, sell, or arrange a mortgage loan must be licensed or registered with the Nebraska Department of Banking & Finance. This includes mortgage bankers and brokers.

The majority of entities wishing to conduct mortgage transactions with real property in Nebraska must obtain a mortgage banker license. Some entities, if certain requirements are met, may be allowed to register.

A Mortgage Banker License is valid from the date of issuance until December 31, at which time the license must be renewed.

Obtaining a License

All applications for a mortgage lending license must be submitted via the NMLS. Sample forms and detailed instructions are available on the NMLS website. To expedite this process you may wish to complete the paper format of each necessary form to use as a tool to ensure that you have collected all necessary information before you log into the NMLS website. However, the process will only be able to be completed online and any application or fees that are mailed or hand delivered to our Lincoln office will be returned to the applicant without being processed.

All application fees as well as any NMLS processing fees will be processed electronically through the NMLS. You may pay the fees via ACH or by Visa or Mastercard. No other payment method will be accepted.

If you have any questions or problems regarding the NMLS, please call the NMLS call center at (240) 386-4444.

View the Uniform Licensing Forms

No Paper License

The Department no longer issues paper licenses. All license approvals, renewals, branches or cancellations are updated on the NMLS to reflect the current license status.

Search for a Mortgage Banker

Required Mortgage Licensing Forms for Nebraska

A checklist of all required Nebraska mortgage licensing forms is available on the NMLS Web site. These forms must be mailed to the Department.

 Registered Agent Appointment and Consent Form

Log into the NMLS

Once the application has been determined to be complete and all information has been submitted, the agency has 90 days to determine whether the license is granted or denied. The applicant will be notified through the NMLS of the status of the application.

In 1989, the Nebraska Department of Banking and Finance was given the authority to regulate mortgage lenders and brokers in the State of Nebraska pursuant to the Mortgage Bankers Registration and Licensing Act.

All activities conducted by mortgage lenders and/or brokers is termed "mortgage banking" in the State of Nebraska and an individual and/or business carrying out mortgage banking activities is referred to as a "mortgage banker". A mortgage banker includes any person or business that, for compensation or gain or in the expectation of compensation or gain, directly or indirectly makes, originates, services, negotiates, acquires, sells, arranges for, or offers to make, originate, service, negotiate, acquire, sell, or arrange a mortgage loan in a calendar year. These persons and/or businesses must be licensed or registered with the Nebraska Department of Banking & Finance.

This site contains links to other web sites in an effort to assist users in locating information on topics that might be of interest to them. Our agency cannot attest to the accuracy of information provided by linked sites. Linking to a web site does not constitute an endorsement by the Department or any of its employees of the sponsors of the site or the products presented on the site. Technical problems with outside links, other than a link that has been moved or changed, should be reported to the entity that maintains the site.